To: All instructors
From: Kevin Salthouse, General Manager, Human Resources and Class Management
Division
Subject: Response to rumors concerning the financial stability of Interac.
Date: September 26, 2010
Earlier this month, I wrote a message in the ‘Interac-shin’ newsletter announcing that the Selnate Group was re-organizing into a new group under the Interac name. This change will be effective October 1, 2010.
Unfortunately, comments have been made on the forums of some well-known websites this weekend suggesting that Interac may be in financial difficulty or be going bankrupt. I am deeply concerned that such rumors may cause you worry and stress. So, let me categorically state that Interac is financially stable and in absolutely NO danger of going bankrupt. I would like to put an end to such rumors here and now. Nor will the re-organization have any impact on your jobs or working conditions.
It appears that the cause of such rumors was a legal notice placed by us in the Government’s Official Gazette on August 24 2010 announcing that Interac would dissolve on October 1.
This is technically true. Part of the re-organization involves consolidation. Selnate Group companies will be consolidated into one big organization. One of our other group companies AP 18 will assimilate the others as New Interac with the old Interac dissolving. Under Japanese law the new group will simply take over all elements of the previous companies.
In practice nothing will change. For example, the same executive and management team will continue and your contracts and employment status will simply role into the new company. You remain as Interac employees. Also, the re-organization will in no way affect the existing contracts with our clients. All our clients are aware of the change and understand it.
The other question that has been raised is in regard to the ownership of the Selnate Group. At the beginning of this year the previous main shareholder retired from the group management. At that time, and after careful consideration and consultation with the executive board members, the board approved changing the main shareholder of the Selnate Group to a long-term investment fund managed by Advantage Partners.
As a company Advantage Partners is the largest in its field in Japan with an outstanding reputation for the support that it provides to its portfolio companies.
Its own philosophy is to contribute to society by teaming up with good, profitable organizations that they believe they can assist to grow and become stronger. We all believed that Advantage Partners philosophy fits well with our own and is in an ideal position to help Interac maintain and strengthen its current business and seek new areas of opportunity in the future. Indeed, we are already seeing the benefits of the fresh perspective and management support that they provide.
Since we are unlisted, we have never made the names of its shareholders public but since facts were falsely represented in a public forum, I decided to address this issue with you.
Thank you and if you do have any concerns or questions, please do not hesitate to speak with your Managing Consultant.